Arthur Hayes, the former BitMEX co-founder, just issued an extremely bullish forecast. He’s betting on CryptoPunks (a leading collection of non-fungible tokens – NFTs) to do better than Ethereum in this crypto market cycle. On July 2, 2025, Hayes posted his detailed analysis on X. He even hinted that investors’ priorities are moving from solving real world problems with blockchain to creating new digital status symbols.
Hayes likens CryptoPunks to “digital luxury timepieces.” He poses them as wunderkinds elite digital trophies that challenge Ethereum’s growing claim as the best crypto asset to serve as the world’s digital infrastructure. He suggests that as markets grow, the connection between technical usefulness and cost will be disrupted. This move will benefit assets with social or cultural value rather than just traditional financial measures.
Hayes’ forecast fits perfectly with the notion that speculative cycles tend to reward assets that have a powerful cultural narrative. He highlights a broader reallocation of capital from traditional cryptocurrencies to high-value NFTs, driven by speculative demand and cultural capital. This view sheds further light on parallels to the past market trends. For instance, these types of digital collectibles boomed in popularity during the 2021 NFT mania.
The prophecy arrives as Ethereum spot ETFs have garnered an eye-popping $2.1 billion in inflows. Despite Ethereum’s firm footings in the cryptocurrency market, Hayes makes the case that CryptoPunks would eventually out-earn Ethereum in US dollar terms. Supporting this argument, an Ethereum treasury firm recently acquired a CryptoPunk for $5.15 million, signaling institutional interest and confidence in the NFT market.
CryptoPunks, originally released for free in 2017, are widely considered blue-chip NFTs. Beyond their historical significance, they consist of some of the most valuable digital collectibles in the market. Hayes’ remarks imply that their worth is more and more focused on their role as cultural icons than technology disruptors.
